Core Viewpoint - The implementation of drug traceability codes is crucial for combating counterfeit and returned drugs, with a significant amount of data already collected from various sectors [1] Group 1: Drug Traceability Codes - The National Medical Insurance Administration reports that approximately 44.08 billion drug traceability codes have been collected from the production and distribution sectors [1] - In addition, 101.481 billion drug traceability codes have been collected from designated medical institutions [1] - Starting January 1, 2026, all medical institutions are required to fully collect and upload drug traceability codes [1] Group 2: Consumer Access and Implications - Each drug traceability code typically has a single record of sale; multiple scans may indicate counterfeit drugs, returned drugs, or switched sales [1] - Consumers can use the National Medical Insurance Administration's WeChat public account to scan the traceability code on drug packaging to access detailed sales information [1]

Core Viewpoint - The article highlights the importance of drug traceability codes as unique identifiers for pharmaceuticals, which are crucial in combating counterfeit and diverted drugs. The National Healthcare Security Administration (NHSA) has reported significant progress in the collection of these codes, with a mandate for full compliance by 2026 [1] Group 1: Drug Traceability Codes - Drug traceability codes serve as "electronic IDs" for each box of medication, playing a vital role in ensuring drug safety and authenticity [1] - As of now, approximately 440.8 billion drug traceability codes have been collected from the production and distribution sectors, while 1,014.81 billion codes have been collected from designated medical institutions [1] - There are three common types of drug traceability codes in China: the "Code on Assurance" 20-digit barcode, company-specific codes, and the international GS1 coding system, which is often used for imported drugs [1] Group 2: Future Compliance and Consumer Access - Starting January 1, 2026, all medical institutions in China are required to fully collect and upload drug traceability codes [1] - Consumers can access detailed sales information of drugs by scanning the traceability code on the packaging through the NHSA's WeChat public account [1] - The GS1 system has been adopted by over 150 countries and regions, with 116 coding organizations participating globally [1]

Core Viewpoint - The implementation of drug traceability codes is crucial for combating drug circulation issues, with a significant amount of data already collected and a mandate for full compliance by 2026 [1] Group 1: Drug Traceability Codes - Drug traceability codes serve as unique "electronic IDs" for each box of medication, playing a vital role in preventing drug diversion [1] - As of now, approximately 44.08 billion drug traceability codes have been collected from the production and distribution sectors, while 101.481 billion codes have been collected from designated medical institutions [1] - Starting January 1, 2026, all medical institutions are required to fully collect and upload drug traceability codes [1] Group 2: Consumer Access - Consumers can access detailed sales information of medications by scanning the traceability code on the drug packaging through the National Medical Insurance Administration's WeChat public account [1]

Core Insights - The article emphasizes the importance of drug traceability codes as unique identifiers for pharmaceuticals, which are crucial in combating counterfeit and diverted drugs [1] - The National Healthcare Security Administration (NHSA) reports that approximately 44.08 billion drug traceability codes have been collected from production and distribution sectors, while 101.481 billion codes have been collected from designated medical institutions [1] - Starting January 1, 2026, all medical institutions in China are required to fully collect and upload drug traceability codes [1] Summary by Categories Drug Traceability Codes - There are three common types of drug traceability codes in China: the "Code on Assurance" 20-digit barcode, self-defined coding standards by some pharmaceutical manufacturers, and the international GS1 coding system, which uses QR codes and is often found on imported drugs [1] - The GS1 system has over 150 countries and regions with 116 coding organizations participating [1] Implications for Consumers - Each drug traceability code typically has a single sales record; multiple scans may indicate counterfeit drugs, diverted drugs, or swapped sales [1] - Consumers can use the NHSA's WeChat public account "Drug Traceability Information Inquiry" to scan the traceability code on drug packaging to access detailed sales information [1]

Policy Developments - The National Healthcare Security Administration is soliciting public opinions on the "Traditional Chinese Medicine Decoction Pieces Traceability Code Encoding Rules" to promote a unified traceability system for traditional Chinese medicine [1] - The National Medical Products Administration has released the "Internet Drug and Medical Device Information Service Filing Management Regulations," which will take effect immediately [2] Drug and Device Approvals - YHLO Biotech announced that it has received medical device registration certificates for two products from the Guangdong and Hunan Provincial Medical Products Administration [3] - Lianhuan Pharmaceutical reported that its raw material drug, Levonorgestrel, has passed pre-certification by the World Health Organization, although this will not significantly impact current operating performance [4] Capital Market Activities - Taiji Group plans to publicly transfer 40% of its stake in the subsidiary company Aida through a public listing, with an initial transfer price of 108,000 yuan [5] - Jiangsu Zhiyuan Pharmaceutical has completed nearly 300 million yuan in Pre-IPO financing, led by Innovation Works [6] Industry Developments - Tongxin Medical announced that its fully magnetic levitation artificial heart has completed enrollment of 100 patients in the INNOVATE clinical trial in the U.S. [7][8] - Novo Nordisk plans to launch the oral version of Wegovy in the U.S. in January 2026, marking it as the first oral GLP-1 drug for weight management [9] Public Sentiment - The Zhejiang Provincial Government has dispatched a working group to oversee the follow-up handling of a medical incident involving a child's postoperative death at Ningbo University Women's and Children's Hospital [10] Regulatory Actions - Haohai Biological Technology announced that its controlling shareholder, Jiang Wei, has been fined 14.63 million yuan by the China Securities Regulatory Commission for insider trading, which will not affect the company's daily operations [11]

Group 1 - Starting from July 1, medical insurance designated pharmaceutical institutions must scan the drug traceability code before settling with the medical insurance fund; failure to do so will result in rejection of payment [1] - By January 1, 2026, all medical institutions are required to fully collect and upload drug traceability codes [1] - The drug traceability code serves as the "electronic ID" of the drug, ensuring that each box of medication has a unique scanning record, preventing the sale of counterfeit or swapped drugs [1] Group 2 - Consumers can check the sales information of a drug by scanning the traceability code using the National Medical Insurance Bureau's WeChat public account [1] - If a consumer queries and finds "only 1 sales record," it indicates the drug is legitimate; if it shows multiple sales records, it may suggest the drug is counterfeit or has been resold [2][3] - Information obtained from software or apps outside the medical insurance department may not reflect the actual sales settlement information of the drug [3]

Core Viewpoint - Starting from today, all designated medical institutions in China must scan the "drug traceability code" for drug sales, which is essential for medical insurance fund settlement. By January 1, 2026, all medical institutions are required to fully collect and upload drug traceability codes [1][10]. Drug Traceability Code Scanning Process - The process for scanning the drug traceability code involves accessing the National Medical Insurance Bureau's WeChat public account, selecting the service option, and entering the drug traceability information query page [1][2]. - The scanning results can yield four possible outcomes, ranging from no sales information found to multiple sales records indicating potential issues with the drug's legitimacy [3][4][5]. Types of Traceability Codes - Traceability codes are categorized into three levels: large code, medium code, and small code, each serving different packaging units and purposes [6][7][9]. - The smallest traceability code is assigned to individual boxes, while medium and large codes are used for larger packaging, facilitating easier verification for companies [9]. Implementation and Regulation - Since the nationwide implementation of drug traceability code collection began in 2024, a total of 39.885 billion traceability codes have been aggregated [10]. - The National Medical Insurance Bureau has identified and is addressing fraudulent activities related to the sale of "returned drugs" and other illegal practices [15][17]. Consumer Rights and Responsibilities - Consumers are advised to follow six principles when purchasing drugs to protect their rights, including ensuring the presence of a traceability code, verifying the code during payment, and retaining receipts [18].

Core Viewpoint - The implementation of drug traceability codes starting from July 1 aims to enhance the management of medical insurance drugs and combat fraud in the healthcare system [1][3][4]. Group 1: Drug Traceability Code Implementation - From July 1, all designated medical institutions must record the full traceability information of drugs sold under medical insurance, adhering to the standards of "full collection, code-based settlement, and code-based payment" [3][4]. - The traceability code serves as a unique "electronic ID" for each drug, ensuring that each box of medicine has a distinct code that cannot be replicated [4][5]. - By January 1, 2026, all medical institutions must fully upload traceability codes, establishing a complete drug traceability loop [4][5]. Group 2: Consumer Protection and Rights - Consumers can verify the sales history of a drug using the traceability code, which can serve as crucial evidence for protecting their rights [7][8]. - The National Medical Insurance Administration provides guidelines for consumers to ensure they only purchase drugs with valid traceability codes and to report any suspicious sales [8][9]. - Legal provisions allow consumers to claim significant compensation for purchasing counterfeit or substandard drugs, reinforcing consumer rights [8][9]. Group 3: Impact on the Pharmaceutical Industry - The traceability system is expected to reduce management costs by approximately 20% and improve operational efficiency by over 30% for pharmaceutical companies [10]. - The comprehensive application of drug traceability codes is anticipated to create a healthier and more compliant ecosystem in the pharmacy industry, facilitating a smoother implementation of policies [10][11]. - The transition to a digitalized pharmaceutical industry is seen as a new starting point for the sector, potentially leading to a surge in innovative drug listings [11].

Group 1 - The implementation of drug traceability codes will reshape the management ecosystem of medical insurance drugs in China, with a focus on preventing fraud and ensuring compliance [2][4][9] - Starting from July 1, 2025, new drug purchases must be scanned for traceability codes to settle medical insurance claims, while existing unmarked drugs will be managed under a transitional "unmarked library" [3][4] - By January 1, 2026, all medical institutions must fully collect traceability codes, establishing a complete drug traceability loop [3] Group 2 - The unique design of traceability codes, which includes features like uniqueness and detailed management, is crucial for regulatory effectiveness [2] - As of March 20, 2025, over 350 pharmaceutical production and distribution companies have connected to the traceability platform, with nearly 8,000 companies inquiring about the upload and query process [2] - The traceability code system is expected to reduce management costs by 20% and improve operational efficiency by over 30% for companies integrating with the national traceability platform [7] Group 3 - Consumers can verify drug sales and protect their rights using traceability codes, which should only have one sales record [6] - The current legal framework provides strong protections for consumers against fraud, allowing for significant compensation in cases of selling counterfeit drugs [7] - The comprehensive application of traceability codes is seen as a new starting point for the digital transformation of the pharmaceutical industry [9]

Core Points - Starting from July 1, medical institutions designated for medical insurance must scan the drug traceability code before settling with the medical insurance fund; by January 1, 2026, all medical institutions must fully collect and upload drug traceability codes [1] - The drug traceability code serves as the "electronic ID" for drugs, ensuring that each box of medication has a unique scanning record, preventing the sale of counterfeit, returned, or swapped drugs [1] - Consumers can use the National Medical Insurance Administration's WeChat public account to scan the traceability code on drug packaging to obtain detailed sales information [1] Drug Traceability Code Usage - To check drug sales information, consumers can follow these steps: access the National Medical Insurance Administration's WeChat public account, navigate to the drug traceability information query, and scan the QR code or barcode on the drug packaging [1] - If the query shows "only 1 sales record," it indicates the drug is legal and compliant if it matches the consumer's purchase; otherwise, it may indicate the drug has been resold, potentially being a returned, swapped, or counterfeit drug [2] - If the query shows "2 or more sales records," it suggests the drug has been sold previously; information obtained from non-official software or apps may not reflect the drug's medical insurance sales settlement information [3]